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ADR Growth Leads Cities Out Of Recession By R. Mark Woodworth
In the December 2009 edition of Hotel Horizons®, PKF Hospitality Research (PKF-HR) is forecasting a third consecutive year of declining revenue per available room (RevPAR) for U.S. hotels in 2010. By year end 2010, PKF-HR projects that the average U.S. hotel will suffer a 1.1 percent decline in RevPAR, the net result of a 0.4 percent gain in occupancy, but a 1.5 percent decline in average daily rate (ADR).
When reviewing the performance forecasts for 50 of the largest U.S. markets for which PKF-HR prepares a Hotel Horizons® report, we observe a different scenario for 2010. The December 2009 Hotel Horizons® forecasts for these 50 cities call for an aggregate increase in RevPAR of 0.6 percent. Unlike the national forecast, hotels in the largest U.S. cities should experience a slight decline in occupancy (-0.1 percent), but enjoy a 0.7 percent gain in ADR.
Click here for the reasons behind the divergent path for the nation's major hotel markets.

Hotel Horizons® December - February 2010 Edition available.

Announcing Location Forecasts!
We have extended our Hotel Horizons® Nation Edition to include not only the chain-scales, but the following locations:
| Urban |
Interstate |
| Suburban |
Resort |
| Airport |
Small Metro/Town |
The new extended Hotel Horizons® National Plus Locations is being introduced for $595. Click here to purchase.

A Look Back In Time
The last time the nation’s economy was as bad as it is today was 1983. As industry participants contemplate a recovery from the current contraction, we thought a look back at industry conditions during the initial phases of the early 1980s recovery might be informative.
As such, we took a look at PKF Consulting’s 1984 edition of Trends® in the Hotel Industry that covered the performance of the U.S. lodging industry in 1983. In the following article extracted from that report, we observe that hotel owners and operators were coming off a period of declining occupancy and sluggish rate growth. During their recovery, hoteliers had to deal with such issues as price competition, rising operating expenses, and depressed levels of inbound international travelers. Sounds familiar.
What can you learn from the past? Please click here to read the article.


2010 ANNUAL TRENDS® REPORT Special Early Pricing
Place your order now for the 2010 edition of Trends® in the Hotel Industry (with 2009 data) and you will receive following for just $295.
- Our Excel E-HotelTrends® Custom Report Tool - Emailed May 2010.
- A PDF clone of the actual book - Emailed Mid-summer 2010.
- CD-ROM Edition - Contains both the E-HotelTrends® Custom Report Tool and commentary that will appear in the final print edition of Trends® - Mailed mid-summer 2010.
- Softbound printed version - Report of approximately 100 pages - Mailed mid-summer 2010.
The price for this package increases to $325 after April 1, 2010.
To place an advance order, or for more information, please visit:
http://www.pkfc.com/TrendsAdvanceOrder
Or call: 1-866-842-8754.

PKF Capital Arranges Sale of Sheraton Hotel in Pleasanton
PKF Capital San Francisco has arranged the sale of the 170-room Sheraton Hotel located in Pleasanton, California for $12.3 million, or $72,353 per key.
Henry Bose and Mark McDermott, from the San Francisco office of PKF Capital represented the seller, a Southern California-based fund manager. The buyer was Pleasanton Lodging LP, a partnership involving principals from Sethi Enterprises and Kapoor Enterprises.
Click here for the press release.

PKF Consulting offers hotel appraisal and hotel valuation services, hotel market studies, hospitality litigation support, and hotel advisory services. PKF Capital offers hotel brokerage and hotel transaction services. PKF Hospitality Research produces Hotel Horizons®, an econometrically based hotel forecast, Benchmarker, a customized comparative hotel benchmark report, and Annual Trends®, a historical hotel financial publication, as well as hotel research services. |